Illinois Tool Works Inc (ITW)vsSmith & Wesson Brands Inc (SWBI)
ITW
Illinois Tool Works Inc
$258.01
-2.88%
INDUSTRIALS · Cap: $74.36B
SWBI
Smith & Wesson Brands Inc
$15.54
+0.84%
INDUSTRIALS · Cap: $678.09M
Smart Verdict
WallStSmart Research — data-driven comparison
Illinois Tool Works Inc generates 3200% more annual revenue ($16.04B vs $486.22M). ITW leads profitability with a 19.1% profit margin vs 2.2%. SWBI appears more attractively valued with a PEG of 0.84. SWBI earns a higher WallStSmart Score of 60/100 (C).
ITW
Buy58
out of 100
Grade: C
SWBI
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ITW.
Margin of Safety
+20.4%
Fair Value
$14.81
Current Price
$15.54
$0.73 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 94 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Strong operational efficiency at 26.8%
Earnings expanding 67.6% YoY
Growing faster than its price suggests
Reasonable price relative to book value
17.1% revenue growth
Areas to Watch
4.1% revenue growth
Weak financial health signals
Expensive relative to growth rate
Trading at 23.1x book value
Smaller company, higher risk/reward
ROE of 3.0% — below average capital efficiency
2.2% margin — thin
Operating margin of 4.8%
Comparative Analysis Report
WallStSmart ResearchBull Case : ITW
The strongest argument for ITW centers on Return on Equity, Altman Z-Score, Market Cap. Profitability is solid with margins at 19.1% and operating margin at 26.8%.
Bull Case : SWBI
The strongest argument for SWBI centers on EPS Growth, PEG Ratio, Price/Book. Revenue growth of 17.1% demonstrates continued momentum. PEG of 0.84 suggests the stock is reasonably priced for its growth.
Bear Case : ITW
The primary concerns for ITW are Revenue Growth, Piotroski F-Score, PEG Ratio.
Bear Case : SWBI
The primary concerns for SWBI are Market Cap, Return on Equity, Profit Margin. A P/E of 63.5x leaves little room for execution misses. Thin 2.2% margins leave little buffer for downturns.
Key Dynamics to Monitor
ITW profiles as a value stock while SWBI is a growth play — different risk/reward profiles.
ITW carries more volatility with a beta of 1.15 — expect wider price swings.
SWBI is growing revenue faster at 17.1% — sustainability is the question.
ITW generates stronger free cash flow (858M), providing more financial flexibility.
Bottom Line
SWBI scores higher overall (60/100 vs 58/100) and 17.1% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Illinois Tool Works Inc
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Illinois Tool Works Inc. or ITW is an American company that produces engineered fasteners and components, equipment and consumable systems, and specialty products.
Smith & Wesson Brands Inc
INDUSTRIALS · AEROSPACE & DEFENSE · USA
Smith & Wesson Brands, Inc. designs, manufactures and sells firearms worldwide. The company is headquartered in Springfield, Massachusetts.
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